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Minister Calls for Makkah Pact to Expand into Trade, Technology and Education

Federal Planning Minister Ahsan Iqbal urged that the Makkah Pact with Saudi Arabia and Turkey move beyond defence to include trade, AI, cybersecurity and education, highlighting economic growth as Pakistan’s key security pillar.

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Minister Calls for Makkah Pact to Expand into Trade, Technology and Education — Technology, Banks, Economy | Shariah PSX

Desk Analysis

How This Affects the Exchange

Sector Effect

Positive · Buy bias

Technology and banking sectors stand to gain from expanded trade and tech cooperation under the Makkah Pact, creating a buy bias.

Sectors & Direction

Desk read

Desk call: Buy bias · Positively affected

  • TechnologyPositively affected
  • BanksPositively affected
  • EconomyPositively affected

Companies

TRG · Buy biasUBL · Buy bias

Companies Mentioned

  • · Positively affected · Buy bias
  • · Positively affected · Buy bias

Mentions in This Briefing

Sectors: Technology, Banks, Economy — Positive · Buy bias. PSX tickers: TRG, UBL. Technology and banking sectors stand to gain from expanded trade and tech cooperation under the Makkah Pact, creating a buy bias.

Full Story

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## Makkah Pact Overview

The trilateral agreement signed in Makkah on 7 August 2026 by Prime Minister Shehbaz Sharif, Saudi Crown Prince Mohammed bin Salman and Turkish President Recep Tayyip Erdogan commits the three nations to treat an attack on any one as an attack on all. While the pact currently focuses on defence cooperation, officials say its true potential lies in leveraging Saudi financial strength, Turkish industrial capacity and Pakistan’s young workforce.

## Call for Economic Expansion

Speaking at a University of Lahore conference, Planning Minister Ahsan Iqbal argued that Pakistan’s future security depends on economic power, education and institutional reform rather than solely on military assets. He urged the pact to broaden its scope to cover trade, artificial intelligence, cybersecurity, space technology and critical minerals.

## Strategic Implications

Iqbal linked the expanded pact to Pakistan’s ambition of achieving a $1 trillion economy by 2035. He noted that upcoming visits by leaders of all Shanghai Cooperation Organisation (SCO) member states could boost investment and technology transfer if economic cooperation is formalised.

## Political Context

Former foreign ministers and senior parliamentarians participated in the event, emphasizing the stabilising effect of the Pakistan‑Saudi defence relationship amid regional tensions, including recent Israeli military actions.

## Outlook

If the Makkah Pact evolves into a broader economic platform, Pakistani firms in technology, finance and export‑oriented sectors could see new market access, joint ventures and financing opportunities, potentially accelerating growth and diversification of the economy.